Why Bitcoin Is Like No Other Bubble We've Seen Before

It's hard for any rational human to look at this chart and not conclude that Bitcoin is on an utterly parabolic rise, fueled by greed, speculation, and fascination, while being completely divorced from any "fundamentals."

We have no idea when the music will stop (it could go to $500 or $1000!) but at some point there will be a moment when it ends in tears, and people will wonder why they paid 40% more for something than it was selling at the day before.

Here's what's really fascinating and unique about the Bitcoin boom.

This isn't the first time we've seen a bubble in something in a privately created thing that's off the traditional financial markets.

Meanwhile, the Bitcoin advocates (like all bubble apologists) have great stories (this is a response to Cyprus and wild central banks!), but in reality that's just an excuse. This is a fascination that people have, and the market is incredibly tiny, so it doesn't take too many new people wanting to dabble to make the price go nuts. That's all.